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Author Question: At the Wild Cat Group Company, the cost of the library and information center has always been ... (Read 99 times)

j.rubin

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At the Wild Cat Group Company, the cost of the library and information center has always been charged to the various departments based upon number of employees. Recently, opinions gathered from the department managers indicate that the number of engineers within a department might be a better predictor of library and information center costs.

 Total library and information center costs are $213,000.

DepartmentABC
Number of employees180520150
Number of engineers106035

If the number of employees is considered the cost driver, what amount of library and information center costs will be allocated to Department A? (Round any intermediary calculations to two decimal places and your final answer to the nearest dollar.)
◦ $42,377
◦ $44,730
◦ $20,286
◦ $130,306


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Marked as best answer by j.rubin on Mar 6, 2021

amcvicar

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